This section lists items self-employed workers can claim as allowable expenses. It includes things like office costs, clothing, staff, travel, and marketing expenses.
LIST OF OFFICE EXPENSES: There are many office items that you would usually use for less than two (2) years.
You can claim the majority of these as allowable expenses. Some typical examples include office stationery, power, rent, rates, and the insurance costs.
But, you might keep some equipment to use in the business for longer than 2 years (e.g. computers, printers). In this case:
Note: There may be some office resources that you use outside of the business (e.g. computer, phone). You cannot claim for non-business use of these items (including the office premises).
There is a long list of office stationery costs you can claim as expenses including:
Note: As a rule you should claim other software used in the business as capital allowances. The exception might be if you use cash basis reporting.
The list of office expenses you can claim also includes:
There are some things you cannot claim as expenses or allowances. For example, buying building premises does qualify as allowable expenses for office costs.
But, you can claim expenses for the repair and maintenance of business premises and some equipment. Thus, if you need to alter the building to install or replace equipment you can claim:
You can claim for integral features if they create part of a building structure such as:
You can claim these listed items as allowable business expenses if you are self-employed:
But, you will not be able to for:
Note: There is a simpler system for calculating car, van, or motorcycle expenses. The simple flat rate scheme is better known as simplified expenses. It bases travel expenses on mileage instead of the actual costs of buying and running a vehicle.
What if you use traditional accounting and decide to buy a vehicle for the business? In this case, you can claim it as a capital allowance. The same applies if you buy a car and use cash basis providing you do not use simplified expenses. Claim all other types of vehicles as allowable expenses.
As a self-employed person you can claim allowable business expenses on clothing items such as:
Note: The allowable expenses if you are self-employed do not cover everyday clothing (even if it gets worn for work).
Certain staff costs qualify for allowable business expenses such as:
Note: You will not be able to claim for carers or for domestic help (e.g. hiring a nanny).
The list of claimable allowable business expenses includes some resalable goods like:
But, you cannot claim for things like:
The list of allowable business expenses you can claim includes:
But, the allowable expenses for self-employed does not cover:
List of Allowable Expenses Self-employed Can Claim in the United Kingdom